Many of us love to have more money in our pockets. If you find yourself paying too much for car insurance every month, there are a few things you can do to lower your premium. There are some considerations car insurance companies use to determine how much you pay on premiums, but you can also work to reduce the amount. Here are a few ways to save on auto insurance in 2014:
If you've ever gotten a speeding ticket or have been in an accident, there's a good chance you saw your car insurance rates increase as a result. This is because your insurance company considers you to be a higher-risk driver. Drivers with fewer crashes and citations, on the other hand, generally pay less for their insurance policies because they appear less likely to get into an accident and file a claim. To reduce your risk factor, you can take a safe driving or defensive driving course to learn better practices on the road. Many insurance companies will offer big discounts to policyholders who undergo extra driving training courses. Some of these courses have a fee , but you may be able to complete them online, making it an easy choice to save money. In addition to saving money, you can reduce your chances of getting into an accident by driving safer.
Purchasing the minimum
Most states have a required amount of auto insurance coverage that every driver needs and is often inexpensive. If you purchase a policy that only covers the bare minimum, there is a greater chance that you will spend more out of pocket if you get into an accident or are sued by another driver. In these cases, the costs can be expensive, so you should carefully consider what minimum coverage is really worth. Even if you're a safe driver who has never been in a car accident, you may put yourself at risk without adequate coverage.
Raise your deductible
Instead of buying minimum car insurance coverage, a better way to save is to raise your deductible. If you think you aren't prone to experiencing a traffic crash and are generally a safe driver who obeys speed limits and traffic laws, then raising your deductible could reduce your monthly premium. When you do get into an accident, however, you may have to pay more initially before your insurance company will cover the remaining costs.